A self-employed individual is merely an individual doing business independently. This individual is entitled to all the profits deriving from his or her business and is personally liable for all related debts and liabilities. The individual’s liability to the business is therefore not limited to the assets used for carrying out his or her business and also includes the personal assets of the self-employed individual.

Government Emergency Ordinance 44/2008, (“the Ordinance”) sets out the conditions under which individuals – Romanian citizens or citizens of EU member states and the member states of the European Economic Area – can carry out business activities in Romania, either as self-employed individuals, individual undertakings or family-owned enterprises. The Ordinance does not apply to individuals carrying out their activity under a special law (e.g.: lawyers, public notaries, etc.).

To carry out business activities, self-employed individuals who act independently as well as family-owned enterprises must register with the Trade Registry Office and the relevant tax authorities. The carrying out of activities in the absence of the relevant registration with the Trade Registry Office or prior to obtaining registration is an offense and is penalized according to the law.

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